Taiping came into prominence during the 19th century when tin deposits were discovered in the area. This discovery led to the boom of the tin mining industry and attracted huge numbers of settlers, especially the Chinese. As with any historical records, there is an accompanying legend in regards to the discovery of tin in this area.

Long Jaafar has been credited in history books as the person who discovered tin in Larut in 1848. According to a legend, he had an elephant pet named Larut and used to take the animal along with him during his journeys between Bukit Gantang and Lubok Merbau. During one of these trips, the elephant went missing. It took three days before Larut the elephant resurfaced. When Long Jaafar was reunited with the animal, he noticed mud, grass and most importantly, tin ores embedded on its legs. Tin was then discovered and the area named after his elephant, Larut.

Regardless of the true discovery, large numbers of Chinese immigrants started pouring in to cash in on the tin fever. Things became so competitive and bitter that feuds began to arise between the different Chinese groups. Conflicts reached its highest point in the early 1870s and this was when the British decided to intervene and took control over the town.